Vertex Ventures Southeast Asia and India Raise $541M

Singapore-based venture capital firm Vertex Ventures Southeast Asia and India (VVSEAI) has successfully concluded its fifth funding round, raising $541 million. The figure represents an 80% increase compared to the amount raised for its previous fund, VVSEAI Fund IV, in 2019.

VVSEAI Fund V’s substantial corpus includes a dedicated co-investment envelope of $50 million, which will be utilized to invest alongside the primary fund in startups led by women founders. More than 35 percent of startups in VVSEAI Fund IV boasted at least one woman founder. 

VVSEAI’s portfolio witnessed highly successful exits, most notably from investments in companies such as Grab, FirstCry, XpressBees, and Recko. These prosperous exits generated substantial cash-on-cash returns, which is said to help investor confidence and attract both existing and new Limited Partners (LPs).

Among the LPs supporting this substantial fundraising are sovereign wealth funds, financial institutions, corporations, and family offices from Asia and Europe. Besides, additions to the LP roster include Japan Investment Corporation (JIC), International Finance Corporation (IFC), and DEG (German Development Finance Institution). 

VVSEAI Fund V has gained support from various Limited Partners (LPs), encompassing existing investors and new entrants. The LPs include sovereign wealth funds, financial institutions, corporates, and family offices spanning Asia and Europe. 

Among the newcomers are entities such as the Japan Investment Corporation (JIC), International Finance Corporation (IFC), and DEG (German Development Finance Institution). 

Ben Mathias, Managing Partner of Vertex Ventures Southeast Asia and India, highlighted the firm’s track record of cash-on-cash returns and consistent outperformance compared to industry benchmarks. 

“Our earlier funds have had superior cash-on-cash returns and are outperforming benchmarks. This track record led most of our investors from VVSEAI Fund IV to return as investors in VVSEAI Fund V and increase their allocation,” he said. 

Vertex Ventures Southeast Asia and India (VVSEAI) was founded in 2010 to drive innovation and support scalable businesses in the Southeast Asian and Indian regions. 

As an integral part of Vertex’s extensive global network of venture capital funds, VVSEAI predominantly sources its funding from international investors, with Vertex Holdings serving as the anchor investor. Vertex Holdings, in turn, is a wholly-owned subsidiary of Temasek Holdings, adding a layer of financial stability and strategic alignment to VVSEAI’s operations.

With a strong focus on identifying and backing high-growth, early-stage startups, VVSEAI has become a prominent player in the Southeast Asian and Indian startup ecosystems. Their investment scope encompasses key regions such as Singapore, India, Indonesia, Thailand, Vietnam, and Malaysia.

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